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218 | toolkit: hammer, saw, and nails<br />

request a packet of nonprofit materials from that office that should<br />

include sample articles of incorporation and your state’s laws on<br />

nonprofit corporations.<br />

• Write your bylaws (see below), which will dictate the operations of<br />

your organization.<br />

• Recruit an initial board of directors.<br />

• Hold the first meeting of the board of directors, and officially<br />

approve your bylaws.<br />

• Apply for any licenses or permits that your corporation will need<br />

to operate in your state and local municipality.<br />

Develop Articles of Incorporation and Bylaws<br />

Your bylaws and articles of incorporation are the primary official documents<br />

required for any corporation, whether it is a for-profit business or a<br />

nonprofit organization. The particular requirements for bylaws are set by<br />

the state in which the organization incorporates.<br />

Articles of incorporation include the organization’s name, the name of<br />

the authorizing official or person(s), the purpose for which the organization<br />

was formed, assurance that no assets of the nonprofit organization benefit<br />

the members (shareholders), the number and names of initial board<br />

members, and the location of the registered office where legal papers can<br />

be served to the organization, if necessary.<br />

Typically written during the incorporation phase, bylaws are rules that<br />

govern the internal management of an organization. Bylaws are created by<br />

the organization’s founders or board members and include, at minimum,<br />

how board meetings are conducted, what officers the organization will have<br />

and their duties, voting procedures, and other operational details. In the eyes<br />

of the law, your organization does not formally exist until your board of<br />

directors approves your bylaws. Therefore, at your first formal meeting of<br />

the board, your agenda should include the adoption of your bylaws and<br />

election of your officers, as well as any other business details that need to be<br />

completed to start the “formal” operations of your organization.<br />

File With the IRS<br />

After you have filed all the paperwork for nonprofit incorporation in<br />

your state and received a copy of your articles of incorporation, you are<br />

ready to submit an application to the IRS for your federal nonprofit status

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